Answer Happy

Drayton
September​,
20X8
20X7​,
£000s.
​Required:
30 September, 20X8.
20X8
20X7
£
£
Inventories
750
630
Trade receivables
6,800
7,140
Trade payables
2,500
2,100
Depreciation charged in the year
995
746
Profit before tax (after interest) for the year
17,200
11,180
​(Complete the necessary drop downs and answer boxes. If there
are any deducted​ amounts, put a minus sign before
the​ number.)
Question content area bottom
Part 1
​First, fill in the heading for the statement of cash
flows​ (even though you are only completing the first part of
the​ statement).
Part 2
​Next, enter the relevant profit before tax​ (after
interest) figure.
Cash flows from operating activities
Part 3
​Next, adjust the profit before tax​ (after interest) for
the effect that depreciation has on cash flows.
Profit before tax (after interest) for the year ended 30
September, 20X8
as above
Part 4
​Next, show the adjustments to cash flows from operating
activities resulting from changes in the levels
of​ inventories, trade receivables and trade payables in the
year.​ (List deductions​ first,
then​ additions.)
Profit before tax (after interest) for the
year
as above
Add Depreciation
as above
Part 5
​Finally, calculate the total cash generated from
operations.
Cash generated from operations